It have to be feeling an terrible lot like 2009 for General Electric Co. shareholders. That’s not a very good factor.
The inventory fell Thursday afternoon because it careened towards a ninth straight each day loss, which might be the longest in eight years. During the most recent streak, GE additionally suffered the worst single-week decline since March 2009 and closed its greatest month-to-month drop since February of that yr.
The recession-era droop has grow to be a frequent level of comparability as the commercial large struggles with a raft of issues, from poor money circulate to weak energy and oil markets. New Chief Executive Officer John Flannery has mentioned he’ll take into account all choices to revitalize GE, which is the worst performer by far on the Dow Jones Industrial Average this yr.
The shares fell 1 p.c to $19.81 at 1:41 p.m. in New York. GE dropped 37 p.c this yr by Wednesday, wiping out greater than $100 billion in market worth, at the same time as broader indexes rose.
JPMorgan Chase & Co. on Wednesday reduce its worth goal for GE to $17 a share from $19, with badyst Stephen Tusa citing weak income and revenue within the power-generation enterprise. Jeff Sprague, an badyst with Vertical Research Partners, warned rebound could also be underwhelming.
“Once the bottom is in, GE will still have a challenging growth outlook,” Sprague mentioned in a notice. “While there could be a short-term technical pop, the fundamental recovery will take time.”
Investors and badysts are additionally bracing for a doable dividend reduce, significantly after the Boston-based firm final month slashed its cash-flow forecast for 2017. Flannery, who took the highest publish in August, hasn’t dominated out such a transfer.
If the payout is decreased, it will be the primary time since — you guessed it — 2009.